Italian energy firm Edison, a unit of EDF, has signed a long-term contract to buy biomethane from Kanadevia Inova.
Under the 15-year agreement, Kanadevia Inova will complete the construction of a biomethane plant fueled by agricultural by-products in the province of Cuneo by the first half of 2025.
Edison said in a statement that it would offtake all of the annual volumes of about 3 million cubic meters produced at the plant.
With this transaction, Kanadevia Inova enters the Italian biomethane sector.
“Thanks to this agreement, Edison strengthens its position in the Italian and European green gas market, offering customers, particularly energy-intensive ones, a competitive solution that can reduce their exposure to the purchase of ETS securities,” Edison said.
At the same time, Edison “confirms its commitment to accompany its customers on the path to decarbonization through increasing shares of green gas, such as biomethane and bio-LNG,” the company said.
Edison did not say whether these new biomethane volumes would be liquefied.
Biomethane is obtained from the purification of biogas, produced by the anaerobic digestion of organic material such as agricultural residues or municipal waste.
Edison noted it can be used for heating, electricity generation, as vehicle fuel, or be fed into the grid.
The company claims it is the main biomethane player in Italy.
Edison currently covers one-third of the national market. In 2023, it purchased and managed more than 100 million cubic meters of biomethane.
Since the construction of the first plants in the country in 2018, Edison has been helping producers sell biomethane on long-term horizons, withdrawing it from production sites and reselling it in the transportation sector, it said.
